Twitter seeks to raise $1.4 billion by selling 70 million shares for between $17 and $20 per share when the company goes public next month, the company revealed today. At $20 per share, it would be worth just under $11 billion.
The lower than expected price range most likely reflects the company's desire to avoid a Facebook-like entrance into public trading. Facebook stock tanked shortly after its IPO and took more than a year to recover. Instead, Twitter is most likely hoping for a first day pop that will put it in good standing with investors.